Amy Gonzales was discontented with the large consulting corporation employing her to do environmental work. Kelly Caldwell, a co-worker, suggested Gonzales start her own business.
Recognizing she’d be unable to do it alone, Gonzales paired her skills with Caldwell’s to form AK Environmental in 2002. Gonzales, a professional geologist and wetlands scientist, took on the management and technical sides of the company while Caldwell, a wildlife science major with a flair for business, undertook the business and human resources aspects.
“It (AK Environmental) was built out of my frustration and her (Caldwell’s) real entrepreneurial spirit,” Gonzales said.
Through their partnership of complimentary talents, the small business overcame funding obstacles and expanded to rank among the fastest growing privately owned firms in the nation.
Smart Business sat down with the pair to discuss opportunities and entrepreneurship.
What were some of the challenges you faced founding your own business?
Caldwell: I think in the beginning it was our size. Amy has a great reputation for herself, so people in the industry knew who Amy Gonzales was, but they were intimidated by our (small) size. … I think the next big struggle was funding, (finding a) bank.
Gonzales: Our explosive growth really was a surprise to the banks, I think they didn’t believe we could grow that fast. We had to find a bank that would really believe in us.
How did you approach the bank to get that mindset changed, to work the bank in a different way?
Caldwell: The banks we were with said they couldn’t go any further, they didn’t want to hear any more. So we had to find someone who would listen in a different way. … We showed them our contracts, explained our business, and they opened their mind to a different way of banking. … (They) would look at our books on an accounts receivable basis instead of on the collateral. As a service company, we sell our knowledge and our people, so we don’t have equipment to base collateral on.
What are some of the current challenges you are facing in this next phase of growth?
Gonzales: (Significant growth will involve) getting the right management staff, allowing Kelly and I to work on the business rather than in the business. I think that will be our biggest challenge, being able to pass the reins to someone who we trust, who will have our same values.
What strategies are you looking at in order to transition roles while still taking the company to the next level?
Gonzales: We have to look honestly at ourselves and … understand what our strengths are and what our weaknesses are. … We need to assess our personal skills and (know) when we need to get out of the way. I think listening to other people and their stories, understanding what works and not letting our egos get in the way is the big thing.
How do you see the separation in terms of each of your strengths? How do you break down the roles of what you each work on?
Gonzales: One of the unique things about our company (is that) Kelly is 17 years younger than I am. She has a certain respect for my age, and the fact that I have a little more of the professional experience, the technical experience. … She comes in with a little less experience but with the real entrepreneurial know-how, and she has the enthusiasm for the business side of it.
Caldwell: I knew when we started the business that she had the experience and the contacts, and I knew what she didn’t like to do. I wanted to help her with that because I knew she would be successful. If she was going to take me along for this ride, I knew I could fit in the pieces she might be missing.
How do you forge and foster relationships with your clients?
Gonzales: Consulting is definitely a people business. … It takes a while to develop trust, to let the client understand you’re working with them, and not just to get money from them. That is the hard (part), first getting through to them to say that we technically can do it, and second, getting their trust me to spend the time to go through a complicated, often frustrating, project.
One of the things I try to emphasize to my staff is to call the client. Whether it’s good news or bad news, you need to be in front of them as often as you can and let them feel the comfort level you’re working toward.
How to reach: AK Environmental, www.ak-env.com
